Is the decline in subscription prices a threat to streamers?

This is a real change in strategy for Twitch. The platform just announced a drop in subscription prices in most of the world outside of the US. It starts this Thursday May 20th with Turkey and Mexico, but the other nations should follow suit.

To justify these changes, the live streaming service explains that this $ 4.99 price tag is sometimes prohibitive for some users. Before Twitch became active, it first carried out a test that turned out to be very successful in Brazil. Localized pricing has indeed doubled the number of subscribers. Streamers have also increased their income.

Twitch promises guarantees for videographers

However, the latter might be a little concerned about these changes. You also need to get a lot more subscriptions to ensure an equivalent income. The platform anticipated this problem and is preparing for this scenario. Hence, the company believes that a videographer who is below their usual baseline will receive a bonus to make up for the loss.

In a blog post, Twitch said, “Twitch will cover 100% of base sales from Prime Channels and Sub-Subs (if required) for three calendar months, including the month of the price change. Then we will slowly lower the incentive payments by 25% every three months for the next 9 months, making a total of 12 months of income adjustment incentives. “”

As a reminder, Twitch continues to have a record audience and largely dominates the live streaming market. A study conducted by Streamlabs in the first quarter confirms this, and Vieuweurs saw 6.3 billion hours on the premises, almost twice as many as last year: 3.1 billion hours. Overall, the Amazon platform makes up 72.3% of this sector, well ahead of YouTube Gaming and Facebook Gaming.

Pull out

By: Twitch Interactive, Inc.

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